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Virtual Network Operator: ISP license need some initial capital for the various things like setup cost, Bank guarantee and material cost as well , if a person has no experience in this field may choose VNO license instead of ISP as it is cheaper option and also allow to work As ISP as well.
UL VNO License has to be renewed in very short time from the department while ISP license needs to be renewed after a long time.
Virtual Network Operator (VNO) or Mobile Virtual Network Operator (MVNO) is an internet service reseller and provides management services because they do not own telecommunication infrastructure. VNO’s are categorized as virtual networks because they do not possess actual network while offering these network services to their customers.
VNO networks often lease bandwidth from various telecom providers at wholesale rates in order to provide solutions to their customers. The VNO business took place in India on 24th July, 2018 by Plintron, Adpay and BSNL.
Choose a Company :-
A company registered in India under the Companies Act, 1956/2013 will be eligible to submit the proposal for providing Internet Service. Company under the Memorandum Should mention the clause of Internet Services mandatorily new Company can Easily take the license within 30 Working Days and need not have any prior Experience for taking the License by the Promoter and Director. Foreign equity shall be as per the Government policy and guidelines issued from time to time. At present, the foreign equity is permitted to the extent of 49 percent.
Choose License Types:-
ISP (Internet Service Provider) License to run the business of Broadband in India. UL License is given by Department of Telecommunications and it is valid for 10 Years. Following are various type if License , An ISP should choose according to their Business Plan:-
Validity Of License :-
License issued will remain valid up to 10 Years once issued and Five year extension also can be provided after completing the terms and Conditions. Licensee have to renew also Bank guarantee as well time to time as well.
License Fees
Once License issued, Checker and Maker Password will also be issued by the Department through these one can pay the License Fees quarterly with the Submission of Required papers time to time.
Tariff
Licensee (Internet Service Provider) has no restrictions with the Government to Fixed tariff , Company can decide Suo-Moto To fix their tariff Location-wise. However, the Telecom Regulatory Authority of India (TRAI) may review and fix a tariff at any time during the validity of the license which shall be binding on the Licensee.
Advantages of VNO License over ISP License:-
VNO Licensee is a cheaper option for license without much blockage of funds in bank guarantees in comparison of ISP license. ISP license Can provide the network with their own name and have better control
Disadvantages of VNO license over ISP license:-
VNO license has to arrange the network from others so they have much tariff charge and also not have better control over downtime in comparison of ISP. Due to this reason as well Customers always like to prefer only ISP licensee.
For ISP License you may read our article with this link :-https://semantictaxgen.in/internet-service-provider-license-in-india/
For any further query related to these you may reach us to +91-9654831210 or info@semantictaxgen.in.
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